How is capital returned to the investor in a Mudarabah contract, and is it necessary upon the realization of profits? What about the distribution of funds at the end of each month, taking into account the worker’s income? Is the investor entitled to have his money returned, and when is he permitted to do so?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
Profit in is not realized until the capital is secure. If a profit appears, it can be distributed as an interim payment, and what was paid in advance is reconciled during the final liquidation (actual or constructive realization). The Mudarib is entitled to his share of the profit as soon as it appears, but it is an unstable ownership held back to protect the capital, and it only becomes firm upon final distribution.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/16650
Where this answer came from
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- Ftawy
- Original fatwa ID
- 16650
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy